Turning Palm Oil Waste into Energy, PLN Nusantara Power Wins ASEAN Energy Award

Tangerang, September 24, 2026 – What has long been considered a waste problem in the palm oil industry can now be transformed into a source of energy. PT PLN Nusantara Power (PLN NP), through its innovation “BioCNG – Repurposing Waste, Powering Existing Plant,” has won the Power & Energy Awards 2026 in the Renewable Energy and Sustainability category, as part of the Enlit Asia & Electricity Connect 2026 series of events.

The award was presented on Tuesday evening, September 22, at ICE BSD, Tangerang, and was received by PLN Nusantara Power Corporate Secretary Hamidi Hamid from Electricity Connect 2026 Organizing Committee Chair Arsyadany Ghana Akmalaputri.

Through this innovation, PLN NP processes Palm Oil Mill Effluent (POME), a methane-rich liquid waste generated from palm oil processing, into Bio-Compressed Natural Gas (BioCNG) for use as a renewable fuel in existing gas-fired power plants.

BioCNG has been implemented at Gas Turbine 2.2 of the 125 MW Belawan Generation Unit. PLN NP successfully conducted the first operation and a 5 percent BioCNG co-firing trial on August 14, 2025, with all operational parameters remaining safe and stable.

The utilization of BioCNG with a methane purity of more than 95 percent has the potential to generate 158 GWh of green energy per year and deliver fuel cost savings of approximately Rp35 billion annually. At the same time, processing POME helps reduce the potential release of methane emissions from industrial waste.

President Director of PLN Nusantara Power, Ruly Firmansyah, said the innovation demonstrates that the energy transition can be advanced by utilizing available resources while optimizing existing infrastructure.

“For us, innovation is not merely about introducing new technology, but about ensuring that the technology delivers tangible benefits. BioCNG proves that waste can be transformed into renewable energy while supporting decarbonization and optimizing existing power generation assets,” Ruly said.

According to Ruly, the successful implementation in Belawan also opens opportunities to expand BioCNG utilization to other gas-fired power plants.

“We want solutions like this to be replicated on a wider scale. By utilizing the potential of domestic waste, we can not only reduce emissions, but also create new economic value and strengthen energy resilience,” he added.

Going forward, PLN NP is mapping potential BioCNG sources for other power plants, including through the strengthening of supply chains and collaboration with strategic partners. The model also has the potential to be developed across Southeast Asia, where the palm oil industry and gas-fired power generation infrastructure are both significant.

For PLN NP, the Power & Energy Awards 2026 serves as recognition of an innovation that integrates decarbonization, renewable energy, the circular economy, and optimization of existing assets into a single solution to support a cleaner and more sustainable energy transition.(*)